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Tax-free sales decreased in Finland in January

Submitted by Visit Plus on Wed, 02/05/2014 - 22:59

Tourists are welcomed source of income in many countries. Somewhat different situation is in some parts of Finland. There are so many tourists from Russia in southeastern Finland that residents of cities Lappeenranta and Imatra not feel comfortable enough in their own cities (Lappeenranta, Imatra). Public opinion polls conducted in these cities show that the locals do not want to increase the number of tourists from Russia. They are convinced opponents of the visa-free regime between Russia and the EU.

According to recently published data wishes of the Finns (probably) starts to be implemented. Russians are less coming to Finland and spend less money there (though perhaps this is a temporary thing.)

The volume of sales with tax-free registration in Finland shops declined in January 2014 by 26% compared to last year. (The highest number of tax-free purchases makes tourists from Russia.)
Sales with tax-free registration decreased by 32 percent in Lappeenranta city. There was a drop of 26 per cent in Helsinki. In located close to the Russian border town of Imatra foreign tourists began to buy about 13% fewer goods.

Reducing the amount of income from the tourists can have different causes:

  • Frosty weather in January could affect the number of tourist arrivals in Finland.
  • Appreciation of the Euro and the decline in the purchasing power of Russians had their effect.
  • Development of trade in St. Petersburg leads to reduce the attractiveness of shopping in Finland.

It is possible that this is a temporary phenomenon, and in the following months indicators of tourism revenues recover. Anyway, Finland expects income from tourists from Russia:
Continues construction of the casino, shopping centers and hotels near Torfyanovka.
Near the town of Lappeenranta will soon be built IKEA shopping center.
There are plans to build spa hotels in the cities of Kotka and Lappeenranta.

But also are taken steps that can bring negative effects:
South-east Finland town are considering imposing a tourists tax.
Practically is blocked the construction of a private clinic, which could lead to the further development of medical tourism.
Planned to do pre-registration to cross the border for tourists.
There is a desire to limit the possibility of Russians to buy property in Finland.

On the one hand, the authorities of Finland have a desire to attract more tourists from Russia. On the other hand a considerable number of residents unhappy a lot of tourists in their cities. Time will tell what trends will prevail.

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